More than a dozen Austin ISD teachers, staff and supporters packed into Thursday night’s school board meeting at district’s headquarters to protest potential cuts, including reductions to teaching positions and stipends for roles like special education, warning the changes could directly affect classrooms.
For nearly an hour, teachers and community members testified before the school board in person and virtually during public comment. Trustees were reviewing preliminary budget proposals outlining how the district may cut staffing, programs and campus support services to close a rapidly growing deficit.
As of February, Austin ISD leaders project the district will end the current school year with a $49 million deficit, $30 million more than expected. Just weeks after presenting those figures, district leaders announced in April that the deficit could balloon to $181 million by the end of next school year if no action is taken. District leaders previously said they would try to shield classrooms from cuts, but after an unexpected enrollment drop, they now say some reductions may be unavoidable.
“Our staff rely on the stipends for SPED, and of course we are living paycheck to paycheck,” said Denise Hankins, an Austin ISD special education teaching assistant. “A lot of people are already working two or three jobs and struggling now.”
Multiple speakers Thursday echoed Hankins, pointing out that district leaders were set to discuss the district’s progress on special education compliance while considering cutting special education stipends. Austin ISD recently exited years of state oversight due to special education violations. Hankins said the change poses additional stress on financially strapped educators, which could distract their focus from the classroom.
As Austin ISD board members prepare to pass a budget for next school year by June, Superintendent Matias Segura told trustees earlier this month possible cuts could include teacher positions and planning time, vacant positions, and funding for technology, academic programs and stipends related to travel, cell phones and special education. Librarians are also proposed for reassignment into support roles. This comes after Austin ISD board members voted in November to close 10 campuses and follows a central office hiring freeze since December and increased oversight on spending.
Along with the potential cuts, Austin ISD listed monetizing properties for an additional $50 million in revenue next school year. This, Segura said earlier this month, could include land sales or leases.
Segura, along with the district’s Chief Financial Officer Katrina Montgomery, presented preliminary budget updates Thursday, including insight into assumptions made on property value drops, projected average daily attendance, and the review process for each department as potential cuts are considered.
“There are probably going to be staffing changes,” Segura said in the meeting. “It is almost certain.”
Chief of Staff La Kesha Drinks told board members considerations included teacher planning time and art, music and physical education staffing at the elementary level, as well as teaching positions, class sizes and scheduling at the secondary level. Trustees debated whether the potential cuts furthered academic goals and whether more conservative projections for property values and enrollment would require even deeper cuts.
District leaders said each cut would be approached uniquely and campus improvement plans could also come into play.
“We are in a situation where the budget is driving the academic plan,” said Trustee Arati Singh in the meeting.
Austin ISD leaders also told board members that 2022’s 2.4 billion bond program for improvements and technology had a forecasted $217 million deficit due to increased material and building costs. However, due to $110 million in interest accrued and $109 million in funds previously allocated to campuses now slated to close, the program is now set to have $2 million in reserve funds.
Library roles, stipend changes draw backlash
Two days after the potential cuts were revealed, librarians and supporters rallied to urge the district to preserve librarian positions during a school board meeting.
On Monday, nearly 100 people, including teachers, parents and community members, attended a virtual meeting hosted by employee union Education Austin to support teachers and school staff who could be affected by the potential changes. Ken Zarifis, president of Education Austin, said attendees raised three main concerns: secondary teacher planning time and teacher-student ratios; maintaining stipends for special education and bilingual teachers; and protecting campus support staff, including librarians, interventionists and teaching assistants.
Following Austin ISD’s recent exit from state oversight over special education compliance, Zarifis said removing stipends from the educators who helped the district reach that milestone undermines those gains. He also said secondary teachers who currently volunteer to reduce planning time and take on more students are paid more to do so, but the proposed change would require them to make this change without additional compensation.
“We have a state that has attacked our district in an outrageous way budget-wise and refuses to pay for schools the way they should,” Zarifis said.
A petition opposing these changes is circulating online across the Austin ISD community, Zarifis said. The union is also meeting with teachers, parents and students to gather feedback and urging community members to write letters to the school board. He said members and supporters are being encouraged to testify at upcoming budget meetings.
“It is not just about the money, it is about the education that you can produce,” Zarifis said. “This is about people who are important in this district and we are going to fight for them.
Enrollment drop, state policy deepen deficit
Last year, Austin ISD trustees passed a budget projecting a $19 million deficit by the end of this school year, assuming two land sales for additional revenue, as well as a lesser loss of students. However, Austin ISD lost more than 3,000 students this school year, with district leaders citing increased immigration enforcement, lower birth rates, cost of living and school choice as contributing factors.
Segura previously said lower property values and a delayed property sale worth an estimated $26 million also contributed to this year’s larger-than-expected shortfall.
Large payments to the state also strained finances. Nearly half of the district’s local property tax revenue is sent to the state under recapture, a school finance policy that requires property wealthy districts to send a portion of their local property tax revenue to the state for redistribution to lower-wealth districts. For Austin ISD, this meant a projected $715 million for the current school year, nearly half of its $1.58 billion total revenue and resources.


